Florida House Passes Resolution to Eliminate Property Taxes on Homestead Properties: What It Could Mean for Homeowners

Florida lawmakers have taken a bold step that could dramatically reshape homeownership costs across the state. On February 20, 2026, the Florida House of Representatives approved a resolution to eliminate non-school property taxes on homestead properties beginning January 1, 2027.

If ultimately approved by voters, this proposal would mark one of the most significant property tax changes in Florida history.

Here’s what we know — and what it could mean for homeowners, buyers, and the real estate market.

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What the Resolution Proposes

The resolution would:

• Eliminate non-school property taxes on homestead properties

• Take effect on January 1, 2027

• Be placed on the November 2026 ballot, allowing voters to amend the Florida Constitution

The measure passed the House in an 80–30 vote, split along party lines, with Republicans supporting it and Democrats opposing it.

However, the proposal is not guaranteed to make the ballot just yet. To move forward, it must receive a three-fifths majority approval in both the House and Senate.

And that’s where things get complicated.

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Senate Pushback and a Potential Rival Proposal

Republican Sen. Ed Hooper, chairman of the Senate Appropriations Committee, indicated that the Senate plans to introduce a competing resolution — one that “won’t be as generous.”

Hooper emphasized that whatever measure goes before voters must be fully agreed upon by both chambers, signaling that negotiations could take time.

There is also discussion about whether a special legislative session may be required if lawmakers cannot reach an agreement before the scheduled end of session on March 13.

In short: this proposal is far from finalized.

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Governor DeSantis’ Position

Governor Ron DeSantis has been an outspoken advocate for eliminating property taxes altogether. However, he has not outlined a clear alternative revenue source to replace the billions generated by property taxes statewide.

In a recent statement, DeSantis emphasized the importance of getting the proposal right rather than rushing it:

“Given that it can’t be voted on by the people before November, it’s better to do it right than do it quick!”

This signals continued negotiations and potential revisions before anything reaches voters.

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What Are “Non-School” Property Taxes?

Property taxes in Florida are generally divided into:

• School taxes (funding public education)

• Non-school taxes (funding counties, cities, fire departments, infrastructure, law enforcement, and other local services)

The current proposal eliminates only the non-school portion for homestead properties — meaning primary residences would receive substantial relief, while school funding would remain intact.

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What This Could Mean for Florida Homeowners

If approved by voters, the financial impact for homeowners could be significant.

1. Lower Monthly Housing Costs

For many homeowners, property taxes are escrowed into their monthly mortgage payment. Eliminating a large portion of those taxes could reduce monthly payments substantially.

2. Increased Home Affordability

Florida has seen rising property values and tax bills since 2020. Many residents have felt the strain of increased assessments. Removing non-school property taxes could improve affordability and stabilize ownership costs.

3. Boosted Buyer Demand

Lower long-term ownership costs may make Florida even more attractive to:

• Out-of-state buyers

• Retirees

• Investors

• Relocating families

That added demand could further strengthen Florida’s real estate market.

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The Big Question: How Would Florida Replace the Revenue?

This is the issue critics continue to raise.

Non-school property taxes fund essential services including:

• Police and fire departments

• Road maintenance and infrastructure

• Parks and community services

• Local government operations

Eliminating this revenue stream would require lawmakers to find alternative funding sources. Possibilities could include:

• Higher sales taxes

• Expanded tourism taxes

• Budget reallocations

• Spending reductions

Until a replacement plan is clearly defined, uncertainty remains.

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Potential Impact on the Clermont & Lake County Market

Here locally in Clermont and throughout Lake County, property taxes play a major role in overall ownership costs.

If non-school property taxes are eliminated:

• Buyers may qualify for higher purchase prices due to lower escrow requirements

• Sellers could see increased demand

• Investors may find long-term holds even more attractive

• New construction demand could accelerate

Florida already benefits from no state income tax. Removing a large portion of property taxes would further strengthen the state’s competitive advantage nationwide.

However, we must also consider how local municipalities would adapt. Budget restructuring could affect community services and long-term infrastructure planning.

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What Happens Next?

Before voters have their say in November 2026:

1. The Senate must pass a version of the resolution.

2. Both chambers must agree on final language.

3. The proposal must meet the three-fifths threshold.

4. Voters must approve the constitutional amendment.

This is a developing story — and one that could reshape Florida real estate for years to come.

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Bottom Line

The elimination of non-school property taxes on homestead properties would be a game-changing move for Florida homeowners. It has the potential to:

• Reduce housing costs

• Increase demand

• Strengthen the housing market

• Attract more out-of-state buyers

But until lawmakers finalize a revenue replacement strategy and voters approve the measure, it remains a proposal — not a guarantee.

As always, when legislation impacts housing costs, smart buyers and sellers stay informed and plan strategically.

If you have questions about how this could affect your home value, buying power, or investment strategy in Clermont or Lake County, let’s talk.

Thinking about buying, selling, or investing? Let’s build a strategy around what’s coming next.

BUY WITH THE ‘BOSS’ 315-335-4622 and visit troyb.lifestyleir.com to get started today.

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